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The branches and foreign exchange administration departments of the State Administration of Foreign Exchange (SAFE) in all provinces, autonomous regions, and municipalities directly under the Central Government, the SAFE branches in Shenzhen, Dalian, Qingdao, Xiamen, and Ningbo, and all designated Chinese-funded foreign exchange banks： To further deepen the foreign exchange administration reform, streamline administration and delegate powers, support the development of the real economy, promote trade and investment facilitation, and build and refine the capital flow management system under the macro-prudential management framework, we hereby provide notification on the relevant measures as follows: I. Expanding the scope of foreign exchange settlements for domestic foreign exchange loans. Foreign exchange settlements will be allowed for domestic foreign exchange loans for exports under trade in goods. Domestic institutions shall repay the loans with foreign exchange proceeds from exports under trade in goods, and in principle, they are not allowed to make repayment through buying foreign exchange. II. Allowing funds for overseas loans under domestic guarantees to be transferred back for domestic use. Debtors can transfer back, directly or indirectly, the funds under guarantees for domestic use through issuing loans to or equity participation in domestic institutions. Where the performance of guarantee occurs to a bank for overseas loans under domestic guarantees, the relevant foreign exchange settlements and sales will be included in the management of its own settlements and sales of foreign exchange. III. Providing further convenience for centralized operation and management of foreign exchange funds by multinationals. Under the principle of macro-prudential management, the share of the deposits attracted by domestic banks through the international foreign exchange master account for domestic use will be adjusted from being no higher than 50% of the daily average balance of deposits over the last 6 months into 100%; and the funds for domestic use shall not use the quota for outstanding short-term external debt. IV. Allowing overseas institutions in pilot free trade zones to have their foreign exchange settled through the non-resident account. Where RMB is transferred for domestic use after settlements of foreign exchange, domestic banks shall first review the valid commercial documents and vouchers of domestic institutions and individuals concerned, in accordance with the relevant provisions on cross-border deals. V. Further standardizing foreign exchange administration for trade in goods. Domestic institutions shall undergo the procedures of foreign exchange receipts and payments under trade in the principle of "whoever exports shall receive foreign exchange, and whoever imports shall make payments". They are required to go through the procedures of foreign exchange receipts on time, unless otherwise specified by the SAFE. VI. Enhancing statistics collection of foreign exchange revenues under the current account that are deposited overseas. Where a domestic institution deposits overseas its export revenues or revenues from trade in services, but fails to undergo registration and filing procedures for foreign exchange administration or report relevant information in accordance with the Circular of the SAFE on Printing and Distributing the Regulations on Foreign Exchange Administration for Trade in Goods (Huifa No. 38 [2012]), and the Circular of the SAFE on Printing and Distributing the Regulations on Foreign Exchange Administration for Trade in Services (Huifa No. 30 [2013]), the domestic institution shall report relevant information within one month after the release of this Circular. VII. Continuing to perform and refine the outward remittance administration policy for foreign exchange profits under ODI. In handling outward remittances of profits in the amount equivalent to USD 50,000 (exclusive) for domestic institutions, banks shall review the profit distribution resolution of the board of directors (or the partners), the original tax return filing form, and audited financial statements that are related to this outward remittance of the profits and affix the seal and endorsement to the original tax return filing form indicating the amount and date of the remittance. The domestic institution shall make up for the losses incurred in previous years before remitting the profits overseas. VIII. Enhancing authenticity and compliance reviews for ODI. When going through ODI registration and outward remittance procedures, a domestic institution shall explain to the bank the sources and purposes (use plan) of the investment funds, and present to the bank the resolutions of the board of directors (or of the partners), contracts and other authenticity evidencing materials, in addition to submitting relevant review materials as required. Banks shall enhance authenticity and compliance reviews under the business operation principles. IX. Adopting the management of full-scale overseas loans in domestic and foreign currencies. In issuing overseas loans, a domestic institution shall make sure the sum of the outstanding overseas loans in the domestic currency and those in foreign currencies is no higher than 30% of its owner's equity in the audited financial statements for the previous year. X. Any violation of this Circular will be subject to legal punishments by the SAFE in accordance with the Regulations of the People's Republic of China on Foreign Exchange Administration. XI. This Circular will be implemented as of the date of promulgation, and interpreted by the SAFE. The SAFE will regularly assess the outcomes of policy implementation and make adjustments in line with the balance of payments. This Circular shall prevail where there are inconsistencies between previous provisions and this Circular. Upon receipt of this Circular, the branches and foreign exchange administration departments shall immediately forward it to the central sub-branches, sub-branches and designated foreign exchange banks within your respective jurisdiction for implementation. 2017-01-26/en/2017/0126/1303.html
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The branches and foreign exchange administrative departments of the State Administration of Foreign Exchange (hereinafter referred to as the “SAFE”) of all provinces, autonomous regions, and municipalities directly under the Central Government; the branches of the SAFE in Shenzhen, Dalian, Qingdao, Xiamen, and Ningbo; and all designated Chinese-funded foreign exchange banks: To further facilitate trade authenticity reviews by banks and enhance trade facilitation, the SAFE decides to give banks access to the "Customs declaration information verification" module of the foreign exchange monitoring system for trade in goods (bank version) in accordance with the Regulations of the People's Republic of China on Foreign Exchange Administration. Relevant issues are notified as follows: I. For a single transaction of foreign exchange payment for trade in goods (excluding offshore resale business, the same below) in an equivalent amount of more than USD 100,000 (exclusive), banks shall review relevant transaction documents in accordance with the existing provisions, and in principle also shall verify the electronic Customs declaration information for imports through the module of "Customs declaration information verification" of the system; and banks could waive the verification if enterprises' external payment of foreign exchange is confirmed to be true and legitimate. For a single transaction of foreign exchange payment for trade in goods in an equivalent amount of not more than USD 100,000, banks could independently decide whether to verify the electronic Customs declaration information for imports through the system, under the principles of "know your customer, understand your business and due diligence". II. Enterprises shall provide true Customs declaration information to banks for making external payment of foreign exchange under trade in goods. III. Banks shall verify the electronic Customs declaration information for imports through the system in the following way: (I) For enterprises that have finished the import declaration procedures, banks shall verify the information in the system within 5 working days after handling the payment of foreign exchange under trade in goods, based on the amount of foreign exchange paid this time under trade in goods. (II) For enterprises that have not finished the import declaration procedures, banks shall require them to provide relevant declaration information within 40 days since the date when they finish the declaration procedures (or the import date, the same below), and to go through verification procedures through the system based on the amount of foreign exchange payments made under trade in goods this time (III) For enterprises that have finished the import declaration procedures but could not provide the declaration information in time due to proper reasons, banks could handle the procedures for payment of foreign exchange after confirming that the transaction is authentic and legitimate, and shall handle verification procedures for the enterprises within 40 days since they finish the declaration procedures. For the enterprises do fail to provide declaration information, banks shall make a note on the transaction of foreign exchange payment in the system. (IV) In the event that the external payment of foreign exchange under trade in goods is higher than the amount declared due to proper reasons such as tolerance, banks shall indicate the reasons in the system when handling verification. IV. In any of the following cases, banks shall make notes of the enterprises in the system on a transaction-by-transaction basis, and such notes shall be made known to other banks across the country through the system: (I) Fail to provide declaration information and give convincing explanations in a given period; (II) Suspected of repeated use of declaration information and fail to give convincing explanations; (III) Suspected of the use of falsified declaration information; (IV) Other information to be noted. The notes will remain effective in 24 months. Where an enterprise is mistakenly noted due to misoperation by a bank, the note can be revoked after internal approval of the bank. V. Where the electronic declaration information for imports is missing from the system due to the incompleteness of the data transmitted or other reasons, banks can handle payment of foreign exchange after confirming the transaction is authentic and legitimate and handle verification in time in the system. Banks shall note the payment of foreign exchange in the system in case that the electronic declaration information for imports is missing from the system for a long time. In case of the failure to log on to the system, banks shall respond in accordance with the Circular of the General Affairs Department of the State Administration of Foreign Exchange on Relevant Issues for Doing a Good Job in the Foreign Exchange Administration of Trade in Goods under Emergency Situations (Huizongfa No. 123 [2012]). VI. Banks shall amend the internal control systems of relevant businesses in time in accordance with this Circular, and guarantee the security of the enterprises' electronic declaration data for imports. VII. The SAFE and its branches and sub-branches (foreign exchange authorities) shall ensure the guidance to banks on declaration information verification, solve problems in time and review or inspect irregularly banks' efforts in declaration information verification. VIII. The foreign exchange authorities shall, in accordance with the Regulations of the People’s Republic of China on Foreign Exchange Administration, punish whoever violates the provisions of this Circular. IX. This Circular shall be interpreted by the State Administration of Foreign Exchange, and shall come into force as of May 1, 2017. Upon receipt of this Circular, the SAFE branches and foreign exchange administrative departments should immediately forward it to the central sub-branches (sub-branches), local commercial banks, and foreign banks within their respective jurisdiction, and all Chinese-funded banks should promptly forward it to their branches. For any problems arising from implementation of this Circular, please provide timely feedback to the SAFE. 2017-04-04/en/2017/0404/1306.html
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The branches and foreign exchange administrative departments of the State Administration of Foreign Exchange (SAFE) in all provinces, autonomous regions, and municipalities directly under the Central Government; the branches of the SAFE in Shenzhen, Dalian, Qingdao, Xiamen, and Ningbo, and national Chinese-funded banks: To boost the opening up of the foreign exchange market and facilitate management of foreign exchange risks by foreign institutional investors (foreign investors) in the interbank bond market, we hereby provide notification of the issues related to foreign institutional investors' participation in China's foreign exchange market as follows, in accordance with the Regulations of the People's Republic of China on Foreign Exchange Administration and relevant provisions: I. Domestic financial institutions with the qualification approved by the SAFE for derivatives business of RMB against foreign exchange for customers (foreign exchange derivatives business), and meeting the conditions for settlement agents in the interbank market (settlement agent) set out in the Announcement No. 3 of the People's Bank of China [2016] are allowed to handle the foreign exchange derivatives business for foreign institutional investors that entrust the institution with providing agent transactions and settlement services. The foreign investors hereunder refer to the foreign investors defined by the Announcement No. 3 of the People's Bank of China [2016]. II. Settlement agents are required to observe the principle of transaction for actual requirements in handling foreign exchange derivatives business for foreign investors. The foreign exchange derivatives business for foreign investors is designed only to hedge against the foreign exchange risk exposure arising from the investment with the inward remittances in the interbank bond market. The foreign exchange derivative exposure and the foreign exchange risk exposure as the transaction basis under bond investment shall be properly related. Where the foreign exchange risk exposure varies with the changes in investments in the interbank bond market, foreign investors shall adjust the exposure of foreign exchange derivatives they hold in five working days, ensuring the alignment with the principle of transaction for actual requirements. III. The foreign exchange derivatives handled by a settlement agent for foreign investors shall include forward derivatives, foreign exchange swaps, currency swaps and options as laid out in the Detailed Rules for the Implementation of the Administration Measures for Foreign Exchange Settlement and Sales by Banks (Huifa No. 53 [2014]). Based on the real and reasonable needs for foreign exchange risk management, a settlement agent could flexibly provide transaction mechanisms including reverse position closing, balance settlement or gross settlement for the foreign exchange derivatives business of foreign investors. For the currencies and reference settlement prices for reverse position closing and balance settlement, please refer to the Detailed Rules for the Implementation of the Administration Measures for Foreign Exchange Settlement and Sales by Banks (Huifa No. 53 [2014]). IV. The foreign exchange receipts and payments involved in the foreign exchange derivatives business carried out by foreign investors shall be handled in the special foreign exchange account as specified in the Circular of the State Administration of Foreign Exchange on Foreign Exchange Administration for the Investments of Foreign Institutional Investors in the Interbank Bond Market (Huifa No. 12 [2016]). V. Any settlement agent shall, when handling the foreign exchange derivatives business for foreign investors, comply with the provisions on the management of synthetic positions in the foreign exchange settlement and sales and is obligated to prepare the statistical reports for foreign exchange settlement and sales in accordance with the Circular of the State Administration of Foreign Exchange on Issuing the Statistical System for the Bank's Foreign Exchange Settlement and Sales (Huifa No. 42 [2006]), the Circular of the General Affairs Department of the State Administration of Foreign Exchange on Adjusting the Statistical Statements for Synthetic Position of the Banks’ Foreign Exchange Settlement and Sales and Submission Methods (Huizongfa No. 129 [2012]), and the Circular of the General Affairs Department of the State Administration of Foreign Exchange on Adjusting the Statistical Statements for the Banks’ Foreign Exchange Settlement and Sales (Huizongfa No. 4 [2017]). VI. This Circular shall come into force as of the date of release. In case of any inconsistency between the former provisions on the management of foreign exchange derivatives business handled by banks for their customers and this Circular, this Circular shall prevail. Upon receipt, the branches and foreign exchange administrative departments of the SAFE shall timely forward it to the relevant financial institutions within their respective jurisdictions. Please follow the Circular in your implementation. State Administration of Foreign Exchange February 24, 2017 2017-02-27/en/2017/0227/1304.html
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The branches and foreign exchange administrative departments of the State Administration of Foreign Exchange (SAFE) in all provinces, autonomous regions, and municipalities directly under the Central Government, the branches of the SAFE in Shenzhen, Dalian, Qingdao, Xiamen, and Ningbo, and national Chinese-funded banks: Given the changes and adjustments to the provisions on foreign exchange administration from October 2015 to date, the SAFE has formulated the Contents and Scoring Criteria for the Assessment of Banks’ Implementation of Regulations on Foreign Exchange Administration (2017) (see the Appendix, Criteria). The relevant issues are notified as follows: 1. Assessments of banks’ implementation of regulations on foreign exchange administration for the assessment year 2017 (from October 1, 2016 to September 30, 2017) shall be governed by the Criteria. 2. Since the beginning of the assessment year 2017, the scores of the risk-based assessment indicators have been adjusted to 15[1]; The formula for the final assessment scores of the head offices of banks[2] has been adjusted to: The final assessment scores of the head offices of banks =∑scores for the individual indicators for general assessment on banks × 60% + scores for the risk-based assessment indicators + scores for the separate assessment indicators for the head offices of banks. Relevant provisions in the Circular of the State Administration of Foreign Exchange on the Amendment to the Measures for Assessment of Banks’ Implementation of Regulations on Foreign Exchange Administration (Huifa No. 26 [2015]) will be nullified. 3. After receiving this Circular, all branches and foreign exchange administrative departments of the SAFE shall immediately forward it to the central sub-branches, sub-branches, urban commercial banks, rural commercial banks, wholly foreign-funded banks, Chinese-foreign equity joint venture banks, branches of foreign banks, and rural cooperative financial institutions within their respective jurisdictions, and shall carry out fair and just assessments of the banks within their respective jurisdictions in implementing the regulations on foreign exchange administration in accordance with the Criteria. 4. Upon receipt of this Circular, all national Chinese-funded banks shall forward it to their branches and sub-branches within their respective jurisdictions as soon as possible, so that they could handle foreign exchange business in compliance with laws and regulations. 5. Starting from the date of issuance of this Circular, the Circular of the General Affairs Department of the State Administration of Foreign Exchange on Printing and Distributing the Contents and Scoring Criteria for the Assessment of Banks’ Implementation of Regulations on Foreign Exchange Administration (2016) (Huizongfa No. 31 [2016]), and the Contents and Scoring Criteria for the Assessment of Banks’ Implementation of Regulations on Foreign Exchange Administration, which is attached to the Circular of the State Administration of Foreign Exchange on the Amendment to the Measures for Assessment of Banks’ Implementation of Regulations on Foreign Exchange Administration (Huifa No. 26 [2015]), will be annulled. In case of any problems encountered during implementation, please report them to the relevant departments of the SAFE immediately. Telephone numbers: 010-68402113 (General Affairs Department), 010-68402593 (Balance of Payments Department), 010-68402104 (Current Account Management Department), 010-68402127 (Capital Account Management Department), 010-68402378 (Supervision and Inspection Department) and 010-68402467 (Data Monitoring Center for Foreign Exchange Transaction). Please follow the Circular in your implementation. Appendix: Contents and Scoring Criteria for the Assessment of Banks’ Implementation of Regulations on Foreign Exchange Administration (2017) [1] Original score: 10. [2] The original formula is as follows: The final assessment scores of the head offices of banks =∑scores for the individual indicators for general assessment on banks × 65% + scores for the risk-based assessment indicators + scores for the separate assessment indicators for the head offices of banks. FILE: Contents and Scoring Criteria for the Assessment of Banks’ Implementation of Regulations on Foreign Exchange Administration (2017) 2017-03-01/en/2017/0301/1305.html
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FILE: Template on International Reserves аnd Foreign Currency Liquidity(аs аt Jun 30 2017) 2017-07-31/en/2017/0731/1311.html
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FILE: Template on International Reserves аnd Foreign Currency Liquidity(аs аt Jul 31 2017) 2017-08-31/en/2017/0831/1312.html
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Address:No.30,Financial Street,Xicheng District,Beijing Postcode:100033 E-mail:guanliyuan@mail.safe.gov.cn 2018-04-09/en/2018/0409/1398.html
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The time-series data of International Investment Position of China 2026-03-27/en/2018/0928/1459.html
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The State Administration of Foreign Exchange (SAFE) recently released the Balance of Payments (BOP) for the second quarter of 2018 and the International Investment Position (IIP) as of the end of June, 2018. A press spokesperson of the SAFE answered media questions on relevant issues. Q: Could you brief us on China’s balance of payments for the second quarter of 2018? A: Based on the balance of payments, China's current account and financial account (excluding reserve assets) recorded a "twin surplus" for the second quarter of 2018. The balance of reserve assets rose and the balance of payments remained basic equilibrium. First, in the current account surplus, the surplus of trade in goods increased while the deficit of trade in services was stable. In the second quarter of 2018, the current account recorded a surplus of USD 5.3 billion, among which trade in goods registered a surplus of USD 103.6 billion in the balance of payments, which doubled that of the previous quarter. A deficit of USD 73.7 billion was recorded under trade in services, flat quarter-on-quarter. Travel, transport and intellectual property fees remain major deficit items. Second, the financial account (excluding reserve assets) continued to show surplus, and the cross-border capital continued its trend of net inflow. In the second quarter of 2018, the financial account (excluding reserve assets) registered a surplus of USD 30 billion, with cross-border capital continuing the trend of net inflows since the first quarter of 2017. The breakdowns are as follows: Direct investment recorded a net inflow of USD 24.8 billion, which are relatively high in both directions. To be specific, ODI recorded a net outflow of USD 27.9 billion, and FDI, a net inflow of USD 52.7 billion. The net inflow of portfolio investments reached USD 61 billion, hitting a quarterly record high. Of this, the net outflow of external portfolio investment was USD 4.3 billion while the net inflow of portfolio investment in China hit USD 65.2 billion. Third, reserve assets rose. In the second quarter of 2018, China's reserve assets rose by USD 23.9 billion as a result of the BOP transactions (excluding the impact of non-transaction factors such as exchange rate and price), among which, foreign exchange reserves increased by USD 22.9 billion. Q: Could you brief us on China's international investment position for the second quarter of 2018? A: According to the international investment position statement, China's overall international investment position remained robust at the end of June 2018. China recorded USD 1.7402 trillion in net external assets, up by 10.7% from the end of March, and the reserve asset size remained the first place in the world. The main characteristics are as follows: First, external financial assets increased to a record high. China's external assets reached USD 7.0377 trillion at the end of June 2018, up by 0.2% from the end of March. To be specific, ODI assets rose by 1.7% to USD 1.5222 trillion. External portfolio investment totaled USD 518.3 billion, up by 0.7%. Other external investments amounted to USD 1.7801 trillion, up by 0.8%. Second, external liabilities have decreased. At the end of June 2018, China's external liabilities reached USD 5.2975 trillion, down by 2.8% from the end of March, mainly affected by exchange rate changes and value revaluation. To be specific, China's direct investment liabilities were USD 2.9507 trillion, down by 3.8%. External portfolio investment liabilities stood at USD 1.1287 trillion, down by 2.1%; while other external investment liabilities amounted to USD 1.2113 trillion, down by 1.4%. 2018-09-28/en/2018/0928/1462.html
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The State Administration of Foreign Exchange (SAFE) held on May 3, 2018 a seminar on "Deepening Reform and Opening up of Foreign Exchange Administration to Make It Easier to Do Business". Chaired by Pan Gongsheng, Administrator of the SAFE, the seminar was attended by representatives from The European Union Chamber of Commerce in China, HSBC, Standard Chartered Bank, DBS Bank, Deutsche Bank, PWC, BMW, and Schneider Electric. Based on their experience in company operation and customer service, the representatives discussed many issues such as the opening up and development of the foreign exchange market, the liberalization of the capital market and the promotion of trade and investment facilitation, and provided constructive ideas and suggestions. Pan Gongsheng pointed out that foreign exchange authorities will deepen reforms, boost two-way opening up of the financial market, promoting capital account convertibility, and enhancing trade and investment facilitation so as to serve opening up in all respects and the development of the real economy while guarding against risks associated with cross-border capital flows to create a favorable environment for Chinese and foreign-funded companies to do business. 2018-05-04/en/2018/0504/1460.html